Pittsburgh-based Alcoa Corporation announced Monday that it has sold land and industrial assets in the state of Texas for $240 million.
The site, the Sandow Lakes Ranch, formerly housed the Rockdale aluminum smelter and covered approximately 31,000 acres in Milam and Lee counties. The Rockdale smelter was fully curtailed in 2008 and permanently closed in 2017.
Alcoa said the transaction was completed on Oct. 29, 2021, and predominantly covered highly improved pasture and agricultural property, as well as the industrial assets. SLR Property I, LP, an affiliate of a private Texas-based real estate investment entity was listed as the purchaser.
“The successful sale of the Rockdale site demonstrates the value that we can unlock as we prepare former sites for redevelopment,” said Rob Bear, Alcoa’s Vice President of Transformation. “Since Rockdale’s closure, we’ve fulfilled our commitments and attracted numerous tenants who are helping create economic development opportunities. We are confident that the work we performed to prepare this site for this completed transaction will bring significant benefits to our former host community and the areas surrounding Rockdale.”
Alcoa received $230 million in net cash proceeds, and said it expects to record in the fourth quarter of 2021 a gain of approximately $200 million in other income. Alcoa said gains and losses from non-core asset sales as special items, consistent with prior transactions.